In a significant move to enhance its digital payment ecosystem, PayPal is expanding the integration of its PYUSD stablecoin across more products in 2024. According to a Bloomberg report, the company aims to offer its 20 million merchants a seamless way to transact using PYUSD, reducing currency conversion fees and speeding up payment processing.
PYUSD for Merchant Transactions
During its annual investor day, PayPal unveiled new merchant product offerings, including a bill-pay feature that allows businesses to pay and receive funds in PYUSD. Michelle Gill, PayPal’s head of small business and financial services, emphasized the importance of facilitating cross-border transactions, especially for U.S. merchants paying overseas vendors. By leveraging stablecoin technology, PayPal seeks to eliminate delays and inefficiencies commonly associated with international banking systems.
Hyperwallet to Support PYUSD Payouts
Beyond merchant payments, PayPal is integrating PYUSD into Hyperwallet, a global payment platform catering to freelancers, contractors, and independent sellers. Acquired for $400 million in 2018, Hyperwallet enables businesses to send cross-border payments without relying on traditional banking systems. The PYUSD-powered payout system is expected to launch in the first half of 2024, allowing users to receive instant payments directly into their PayPal accounts. This move positions PayPal as a leader in crypto-powered financial services, addressing common pain points such as slow settlement times and high transaction costs.
The Stablecoin Market Heats Up
The growing adoption of stablecoins is reshaping the digital payments landscape. Marc Boiron, CEO of Polygon Labs, noted that stablecoins have surged to a market cap of $216.26 billion, with platforms like PayPal driving mainstream usage. Since its launch, PYUSD has surpassed a $1 billion market cap, proving its viability as a reliable digital asset.
Meanwhile, competition is intensifying. Tether (USDT) faces regulatory scrutiny in Europe due to MiCA compliance, while Circle’s USDC is expanding its presence amid the Solana meme coin boom. Ripple has also entered the stablecoin race with RLUSD, available on Ethereum and the XRP Ledger.
Also Read: Bitcoin Bloodbath: Holders Dump $1.7B in Panic—Is the Biggest Crash Yet to Come?
As PayPal continues to innovate, its deepening commitment to PYUSD could accelerate the adoption of crypto-powered payments worldwide, bridging the gap between traditional finance and blockchain technology.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
